How Indonesia Is Encouraging Startups

Participants seen during the Go Startup Indonesia conference in Jakarta on Dec. 3. (JG Photo/Joy Muchtar)

The mushrooming of startups in Indonesia has attracted the government`s attention and prompted it to do more to support this business model.

This has seen the establishment of a joint platform known as Go Startup Indonesia (GSI) by the Creative Economy Agency (Bekraf) and Mandiri Capital Indonesia, a corporate venture capital firm operated by the country`s largest lender, Bank Mandiri, to support and encourage the establishment of more startups.

"This platform aims to synergize various parties involved in the startup ecosystem, from the government, technology experts, startup activists to investors, and encourages more startups to perform initial public offerings," Fadjar Hutomo, deputy chairman of financial access at Bekraf, said in Jakarta earlier this month.

The first GSI conference, which took place in early December, acted as a one-stop destination for founders to access incubators, accelerators and a collaborative co-working space to create a conducive environment for the growth and development of startups.

The government realizes that startups face obstacles to growth, and therefore hopes the GSI event will facilitate greater financial access, including to capital markets.

"We fully support events such as the GSI conference that are in line with Mandiri`s goal to continue to optimize the potential of the entrepreneurial and startup spirit in Indonesia," Mandiri Capital finance director Hira Laksamana said.

The conference was the culmination of a series of pitching competitions, talk shows and mentoring sessions that were held since the platform`s launch on Sept. 8.

More than 2,000 people, including technology activists, startup owners, corporate representatives, investors, entrepreneurs, academics and journalists, from across the archipelago participated in the conference.

"We hope activities such as this conference can help startups overcome one of their biggest problems, namely access to mentors and guidance from the start to the final stage," Hira said.